Huge Tax Savings
Section 179 was designed with businesses in mind.
That's why almost all types of "business equipment" that your company buys or finances qualify for the Section 179 deduction this year.
Limits and Savings
2021 Deduction Limit = $1.05 Million
This deduction is good on new and used equipment, as well as off-the-shelf software. To take the deduction for tax year 2021, the equipment must be financed/purchased and put into service between January 1, 2021 and the end of the day on December 31, 2021.
2021 Spending Cap on equipment purchases = $2.62 Million
This is the maximum amount that can be spent on equipment before the Section 179 Deduction available to your company begins to be reduced on a dollar for dollar basis. This spending cap makes Section 179 a true "small business tax incentive" (because larger businesses that spend more than $3.5 million on equipment won't get the deduction.)